SNK Corporation Financial Statements: 23rd Fiscal Period Ended December 2023

Key insights

6 takeaways

01
SNK Corporation reported a net loss of 2,819,148 thousand yen for the five-month fiscal period ending December 31, 2023.See it on page 2
02
The company recorded an operating loss of 2,614,352 thousand yen, driven by net sales of 2,430,144 thousand yen failing to cover costs of sales and 2,518,658 thousand yen in operating expenses.See it on page 2
03
Total losses before income taxes reached 2,648,746 thousand yen, exacerbated by impairment losses and valuation losses on investment securities.See it on page 2
04
As of December 31, 2023, the firm maintained a solid balance sheet with 17,974,936 thousand yen in total assets, including 7,440,516 thousand yen in cash and deposits.See it on page 1
05
Total liabilities were reported at 1,279,532 thousand yen, resulting in net assets of 16,695,403 thousand yen.See it on page 1
06
Financial operations include significant intercompany licensing and development agreements with subsidiaries based in China and Singapore.See it on page 4

Summary

The SNK Corporation financial statements for the 23rd fiscal period, covering the five-month duration from August 1, 2023, to December 31, 2023, detail the company’s financial position and operational performance. The report serves as a formal disclosure of the firm’s assets, liabilities, and profitability, highlighting a challenging fiscal period characterized by significant net losses.

Financial results for this period indicate a net loss of 2,819,148 thousand yen. The company recorded net sales of 2,430,144 thousand yen against a cost of sales of 2,525,839 thousand yen, resulting in a gross loss of 95,694 thousand yen. After accounting for selling, general, and administrative expenses of 2,518,658 thousand yen, the firm reported an operating loss of 2,614,352 thousand yen. Further impacts from impairment losses and investment securities valuation losses contributed to a total loss before income taxes of 2,648,746 thousand yen.

As of December 31, 2023, the company held total assets of 17,974,936 thousand yen, with cash and deposits representing the largest portion of current assets at 7,440,516 thousand yen. Total liabilities were reported at 1,279,532 thousand yen, while net assets stood at 16,695,403 thousand yen. The report also outlines significant intercompany transactions, particularly licensing and development agreements with subsidiaries in China and Singapore, which are conducted based on market valuations and negotiated terms. The accounting methodology adheres to Japanese standards, utilizing the cost method for inventory and specific revenue recognition policies for licensing agreements, which are treated either as point-in-time usage rights or over-time access rights depending on the nature of the intellectual property provided.